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Michigan Law Review

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The English Rule As To Liability For Unintended Consequences, George C. Tilley Apr 1935

The English Rule As To Liability For Unintended Consequences, George C. Tilley

Michigan Law Review

The question how far a defendant is liable in tort for the unintended consequences of his wrongful act, generally supposed to have been settled for England by the case of In re Polemis and Furness, Withy & Co., Ltd., has recently been reopened by the House of Lords decision in the case of Liesbosch Dredger v. S. S. Edison. Defendants, owners of the Edison, negligently sank the plaintiffs' dredger Liesbosch while the latter was being used by the plaintiffs in performance of a profitable contract to construct a harbor at Patras, Greece. There was evidence that, …


Criminal Law And Procedure - Indecent Exposure - Nudism Apr 1935

Criminal Law And Procedure - Indecent Exposure - Nudism

Michigan Law Review

The two recent cases of People v. Ring and People v. Burke have raised the interesting question of the legal position in this country of the practice of organized nudism. Inasmuch as the decisions are difficult to reconcile, the result is somewhat disconcerting.


Torts - Inducing Breach Of Contract Apr 1935

Torts - Inducing Breach Of Contract

Michigan Law Review

The recognition of inducement of breach of contract as a tort came only in comparatively recent times, its first clear enunciation being in Lumley v. Gye in 1853. Prior to that case there had been an accepted doctrine that interference with the relation of master and servant was an actionable wrong. Sayre finds the roots of the liability for enticement of servants in the Ordinance of Labourers passed after the Great Plague, and in a confusion of the action based on that statute and the action for forcibly interfering with the servants of another. In Lumley v. Gye the action …


Constitutional Law - Power Of Congress To Punish For Contempt - Power To Punish For Completed Acts Apr 1935

Constitutional Law - Power Of Congress To Punish For Contempt - Power To Punish For Completed Acts

Michigan Law Review

Petitioner was attorney for certain air lines and during the course of the "Air Mail" contracts investigation in the Senate in 1934 was ordered to produce certain correspondence. He delayed, claiming an attorney's privileges, and either he or his partner allowed clients to remove certain of the papers asked for from his files. Some of the papers were later returned by the clients, and others were destroyed. Petitioner was committed for contempt of the Senate and brought habeas corpus proceedings. Held, (1) neither the fact that an obstruction of legislative process has been removed or that its removal has …


Constitutional Law - Price Fixing - Limits Of Administrative Discretion Apr 1935

Constitutional Law - Price Fixing - Limits Of Administrative Discretion

Michigan Law Review

An order of the New York Milk Control Board prescribed a minimum selling price to be charged by wholesale dealers to their customers and also a minimum buying price to be paid by the dealers to producers. Competition fixed the minimum selling price as the maximum obtainable. Plaintiff, a wholesale dealer, could not operate at a profit and sued to enjoin enforcement of the order as arbitrary and hence violative of due process. Held, that upon these facts only, with nothing to show that efficient dealers could not operate profitably, the price limits were not arbitrary. Hegeman Farms Corp. …


Book Notes, Michigan Law Review Apr 1935

Book Notes, Michigan Law Review

Michigan Law Review

This department undertakes to list and, when possible, describe briefly current books on law and matters closely related thereto.


Attorney And Client-Appropriate Penalty For Embezzlement As Executor Apr 1935

Attorney And Client-Appropriate Penalty For Embezzlement As Executor

Michigan Law Review

An attorney over a period of two years converted for his own purposes $12,500 from two estates of which he was executor. Although the Chicago Bar Association Committee on Grievances recommended disbarment it was held, three justices dissenting, that defendant should be suspended for two years and until complete restitution was made. In re Borchardt, (III. 1934) 192 N. E. 383.


Attorney And Client - Duty Of Attorney To Follow Client's Instructions Apr 1935

Attorney And Client - Duty Of Attorney To Follow Client's Instructions

Michigan Law Review

An attorney's duty, where he is specially instructed, is to follow the instructions of his client, except as to matters of detail connected with the conduct of the suit, and he is liable for all losses resulting from his failure to follow such instructions with reasonable promptness and care.


Contracting By Reference To Price Indices, John P. Dawson, James Will Coultrap Mar 1935

Contracting By Reference To Price Indices, John P. Dawson, James Will Coultrap

Michigan Law Review

The commodity price index number has been defined as a "figure which shows the average percentage change in the prices of a number of representative goods from one point of time to another." In the preceding article it has been argued that the use of the index number in private contracts as a method of expressing stable values is not prohibited by the gold-clause resolution of June 5, 1933; that in the decisions of the United States Supreme Court sustaining this legislation there is nothing to indicate that such contracts would run counter to the Government's policies in the control …


Book Notes, Michigan Law Review Mar 1935

Book Notes, Michigan Law Review

Michigan Law Review

This department undertakes to list and, when possible, describe briefly current books on law and matters closely related thereto.


Taxation-State Taxes Upon Federal Instrumentalities-Who May Raise Question Of Unconstitutionality Mar 1935

Taxation-State Taxes Upon Federal Instrumentalities-Who May Raise Question Of Unconstitutionality

Michigan Law Review

In connection with the performance of a contract with the federal government, the plaintiff corporation was required to pay a state sales tax on lumber, cement, steel and other materials used in the construction work. An action was brought to enjoin the collection of the tax and to have it declared unconstitutional as impeding and hampering the federal government in the performance of its governmental functions, and as depriving the plaintiff of its property without due process of law. Held, the plaintiff is not a proper party to raise the question of the constitutionality of the tax: first, because …


Bills And Notes - Execution Of Instruments By Agents - Liability Under N.I.L. Mar 1935

Bills And Notes - Execution Of Instruments By Agents - Liability Under N.I.L.

Michigan Law Review

The liability of parties on negotiable instruments executed by agents or representatives is a matter which has not been satisfactorily settled by the cases under the N.I.L., due partly to the ambiguity of the statute itself and partly to the obstinate refusal of some courts to adopt the approach of the ordinary business man. Under the law merchant the agent ran a great risk of personal liability in executing a negotiable instrument unless he was careful to spell out that he was signing for a named principal as agent only. If he merely added to his name the phrase "agent …


The Gold Clause Decisions, John P. Dawson Mar 1935

The Gold Clause Decisions, John P. Dawson

Michigan Law Review

The gold clause decisions of February 18, 1935, have already taken their place among the great landmarks of American constitutional history. They have given a partial answer to some basic questions of constitutional law. Directly they have disposed of claims amounting to a total of many billions of dollars. But their further implications, both for public and private law, are of even greater magnitude; it may be many years before these wider implications are more fully understood.


Constitutional Law-Validity Of State Anti-Injunction Legislation Mar 1935

Constitutional Law-Validity Of State Anti-Injunction Legislation

Michigan Law Review

The development of organized labor in the United States has created difficult legal and social problems with which the courts and the legislatures are required to deal. The courts were the first to deal with these problems and, rightly or wrongly, attempted to apply to them the existing rules of law. For instance, the rules of property law have been applied. Where organized labor interfered with the carrying of the mail, it was said that the federal government had a property right in the mails. Where the carrying on of a business was interfered with, it was held that the …


The Effect Of Inflation On Private Contracts: United States, 1861-1879, John P. Dawson, Frank E. Cooper Mar 1935

The Effect Of Inflation On Private Contracts: United States, 1861-1879, John P. Dawson, Frank E. Cooper

Michigan Law Review

The American Civil War provides ample material for studying the legal consequences of currency depreciation. The sudden demands of war on government budgets made it necessary in both North and South to issue a large volume of paper money, which produced a general rise in prices, a premium on gold, and all the other indices of major monetary inflation. American history had already illustrated the dangers in the use of unstable monetary standards and in too rapid an expansion of the monetary supply. The period of the Civil War is of peculiar interest to lawyers, however, because the record of …


Corporations - Depreciation And Net Profits For Dividend Purposes Mar 1935

Corporations - Depreciation And Net Profits For Dividend Purposes

Michigan Law Review

This discussion will deal only with cash dividends on par value stock. It proceeds on the assumption that dividends in a particular jurisdiction may be paid only from "net profits," but it is not the writer's purpose to interpret "net profits" except so far as that term is affected by depreciation. The discussion will consist of a short examination of the economic nature of depreciation; a consideration of accounting techniques for handling depreciation in the accounts, with an evaluation of these techniques from the point of view of analytical jurisprudence; and a discussion of the case law.


Criminal Law And Procedure - Statute Of Limitations - Time Of Commission Of Offense Matter Of Defense Or Of Jurisdiction Mar 1935

Criminal Law And Procedure - Statute Of Limitations - Time Of Commission Of Offense Matter Of Defense Or Of Jurisdiction

Michigan Law Review

Defendant pleaded guilty to rape and was sentenced to imprisonment upon an indictment which showed upon its face that the period allowed by the statute of limitations had elapsed since the offense charged had been committed, and there were no allegations setting forth an exception to the running of the statute. Later, defendant moved to set aside the judgment on the ground that the court lacked jurisdiction. Held, the judgment was void and the defendant should be released. People v. McGee, (Cal. 1934) 36 Pac. (2d) 378.


Rights In Land - Lateral Support - Statute Increasing Common Law Rights And Duties - Constitutionality Mar 1935

Rights In Land - Lateral Support - Statute Increasing Common Law Rights And Duties - Constitutionality

Michigan Law Review

Plaintiff sued for damages to his building which collapsed during excavating operations on defendant's adjoining land. A Michigan statute makes it the duty of land owners excavating to a depth of 12 feet or more below grade level to furnish sufficient lateral support to protect adjacent land and structures thereon from injury "due to the removed material in its natural state, or due to the disturbance of other existing conditions caused by such excavation," and imposes liability for injuries due to failure to comply with the act. The excavation on defendant's land, reaching a depth of 14 feet below grade …


Statutes- Constitutional Law - Legislative Action At Special Session Limited By Governor's Message Mar 1935

Statutes- Constitutional Law - Legislative Action At Special Session Limited By Governor's Message

Michigan Law Review

At a special session called by the executive to consider, among other matters, a bill "providing for the validation of bonds issued by a municipality under sufficient popular vote regardless of technical requirements," the legislature enacted a statute permitting validation of bonds even when issued without legal power, and the bill was approved by the governor. Pursuant to the statute, the common council of Detroit, in order to refund the city's bonded debt, approved the validity of the old obligations of the municipality, and petitioned for a writ of mandamus to compel the city controller to issue the refunding bonds …


Unfair Competition -- Appropriation Of Good Will By A Non-Competitor -- Literary Property Mar 1935

Unfair Competition -- Appropriation Of Good Will By A Non-Competitor -- Literary Property

Michigan Law Review

The Texas Co. and the National Broadcasting Co. sought to enjoin the unauthorized publication and sale by the Uproar Co. of a pamphlet containing the subject-matter of Ed Wynn's advertising program, broadcast under the auspices of the Texas Co. The name "Graham," which was associated with the announcer Graham McNamee and had acquired a secondary meaning in connection with the N. B. C., appeared frequently in the pamphlet. The court found that the Texas Co. had the sole right under a contract with Wynn to the use of Wynn's script, that the N. B. C. had the exclusive right under …


Trusts-Possible Extension Of The Tentative Trust Doctrine Mar 1935

Trusts-Possible Extension Of The Tentative Trust Doctrine

Michigan Law Review

The settlor established a trust for the plaintiff, his daughter, appointing a trust company as trustee. The trust deed expressed the purpose of adding to the estate, but no additional property was delivered to the trustee. Later the settlor rented a deposit box from the trust company in the name of the plaintiff by himself as agent and informed its officers that he was creating another estate for the plaintiff for her use later in life, that he would manage the estate, and that he did not want plaintiff to know about the box. From time to time he placed …


Evidence-Use Of Photostatic Copies In Proving Books Of Account-Model Statute Feb 1935

Evidence-Use Of Photostatic Copies In Proving Books Of Account-Model Statute

Michigan Law Review

Private records, books of account, and documentary evidence in general present an evidenciary problem in litigation if one, in proving his case, must use the records and books of account of a third person outside the jurisdiction of the forum. A subpoena duces tecum is limited to the boundaries of the state of the forum. Written evidence in the hands of a third person outside the state where the litigation is being pursued can only be obtained by permission of the owner, and even if the owner does permit the transportation of records and books of account necessary to the …


Corporations-Trust Indenture-Notice To Security Holders Of Contents Of Indenture Feb 1935

Corporations-Trust Indenture-Notice To Security Holders Of Contents Of Indenture

Michigan Law Review

Ever since corporate bonds made their appearance more than a century ago, there has been a steady increase in difficult problems relating thereto. Not the least interesting of these problems pertains to the matter of notice to holders of the bonds and other securities of the contents of the indenture under which they are generally issued. The question becomes acute when one of these bondholders starts suit in law or in equity, and is met by the proposition that his right to so sue is limited by the trust indenture. There are two aspects to the matter, and it is …


Corporations -De Facto Existence Of Corporations Where Charter Expired Feb 1935

Corporations -De Facto Existence Of Corporations Where Charter Expired

Michigan Law Review

After expiration of its charter the defendant corporation, which had been operating under the name of "Trustees of the Young Harris Institute," continued to conduct the business for which it was incorporated, holding itself out to the public as a corporate entity under the name of "Young L. G. Harris College." Plaintiff sued on a contract for goods and services furnished to defendant as "Young L. G. Harris College." Held, defendant is a de facto corporation and cannot escape liability on the ground that there was in fact no legal corporation by the name of "Young L. G. Harris …


The Delegation Of Federal Legislative Power To Executive Officials, Theodore W. Cousens Feb 1935

The Delegation Of Federal Legislative Power To Executive Officials, Theodore W. Cousens

Michigan Law Review

It will be the purpose of this article to attempt (1) a chronological survey of the previous Supreme Court cases relating to alleged delegations of legislative power, and (2) an analysis and discussion of the Panama Refining Co. decision in the light of this background. No discrimination is made between delegations of state and of federal legislative power, as the Supreme Court makes no such discrimination.


Foreign Enforcement Of Actions For Wrongful Death, William H. Rose Feb 1935

Foreign Enforcement Of Actions For Wrongful Death, William H. Rose

Michigan Law Review

Actions for wrongful death have a long history in the common law. Homicide was once a private matter giving rise to the blood feud and later to the wergild, whereby a money substitute replaced private warfare. With the development of criminal law the crown took jurisdiction over all killings. At a time when all felonies carried with them the death penalty, forfeiture of chattels and escheat of lands, the right to sue for wrongful death was scarcely of practical importance. This was especially so since felony included negligent killing, and even an accidental killing required the king's pardon if …


Creation Of Government Corporations By The National Government, Maurice S. Culp Feb 1935

Creation Of Government Corporations By The National Government, Maurice S. Culp

Michigan Law Review

The federal government has until recently made very little use of the corporation as an agency for executing the laws of Congress. Early in the course of our national development the federal government chartered banks and shared in their ownership, utilizing them in the fiscal operations of the treasury. At various other times the federal government has chartered other corporations under some power granted by the Constitution, particularly railroad corporations under the commerce power. Beginning with the World War the corporate form of administrative agency was utilized to avoid difficulties which would arise if the execution of the war-time activities …


Banks And Banking - Priorities On Insolvency Of Bank Feb 1935

Banks And Banking - Priorities On Insolvency Of Bank

Michigan Law Review

Plaintiff, clerk of court, deposited in a reputable bank a compensation award known by the bank to be such, pending review in an appropriation proceeding. On the insolvency of the bank, plaintiff sued for the immediate payment of the deposit in full, claiming a preference because: (a) "a special deposit, constituting a trust, was created"; (b) the unauthorized and, consequently, unlawful deposit-of any trust fund in a bank which knows the nature of the fund impresses a trust on the bank. Held, plaintiff was not entitled to a preference over the other depositors in the bank. Busher v. Fulton …


Book Notes, Michigan Law Review Feb 1935

Book Notes, Michigan Law Review

Michigan Law Review

This department undertakes to list and, when possible, describe briefly current books on law and matters closely related thereto.


Taxation-Constitutional Limitations On Sales Taxes Feb 1935

Taxation-Constitutional Limitations On Sales Taxes

Michigan Law Review

There are twenty-three states having general sales tax statutes today. For the most part these statutes have been prompted by the recent economic depression as emergency measures. Most of them are license or privilege taxes, and are of two classes: those of the first type are sales taxes in name only, and consist of taxes upon the privilege of engaging in various occupations, of which selling personal property is but one; those of the second type are taxes solely upon the privilege of selling personal property at retail. Such taxes have met with considerable opposition in the form of litigation, …